Problems faced by Ecommerce D2C brands in 2022

Increasing Marketing Cost

Before Pandemic facebook ads cost was much less and with only pixel integration ecommerce stores were performing very well.

But when COVID pandemic started cost of getting customers increased as there was increase in demands of online stores. This made ads cost expensive.

Then came Apple iOS 14 update which impacted facebook ads exponentially. Not only store owners started getting less orders but Customer Acquisition cost also increase gradually.

For Ecommerce Startups without funding its nearly impossible in to survive if there is no brand of their Ecommerce Store.

Increasing Return Orders & NDR

Nothing impacts more than Return Orders to Ecommerce Business. Increasing Return Orders can be due to many reasons like Incorrect Address, Customer Not available etc.

This cause NDR (Non Delivery Report) and if NDR is occured 3 times it causes RTO and Once Order is RTO means its a loss to business. You spent lots of money to bring customer on website and they like product and purchase it but not delivered to them is a sign of lack of process in Logistics Operations.

Increasing Operational Cost

Running Ecommerce Business as a Startup means with limited resources you have to scale and bring your business to profitablity. Building brand requires a team and you have to hire few of them at first but they should be best. As a founder you should be able to do lots of things yourself.

Lack of Process in Ecommerce Business

Even if your website brings you sale lots of things are still need to be done in backend like calling, packing , dispatch and if you are doing it manually or in excel. It will take you time to

No COD order Verification

COD order cause most of the returns and they needs to be verified whether they are fake. Verification reduces returns of Orders and gradually helps you minimize losses.

Weight Discrepancy

Weight Discrepancy is when the weight your measured during ship now and weight measured by courier company is not same, which means they charge you more

Rely on 3PL & Logistics Provider

Most of Shopify stores use Shiprocket & Shypway as their fulfillment partners, the advantage of 3PL is that they access to multiple shipping partners and you dont have to worry about partnering with everyone . They are good as a backup options to send courier where existing courier partner is not serviceable, disadvantage of 3PL is the shipping charges on each order